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The prices of precious metals continued to slowly change during recent days. The recent attempts of President Obama to reach an agreement with Congress regarding to avoid the fiscal cliff didn't seem to impress investors of bullion up to now. Will gold and silver continue to fall? Currently, gold and silver are declining. On today's agenda: U.S. Jobless Claims Weekly Report, Consumer Confidence and new home sales.

On Wednesday, gold edged up by 0.03% to reach $1,659.9; the price of silver, on the other hand, slipped by 0.55% to reach $29.98. During the month, gold declined by 2.98%; silver, by 9.7%.

On Today's Agenda

U.S. Jobless Claims Weekly Report: in the previous weekly update, the jobless claims rose by 17k to reach 361k; this upcoming weekly report may affect the U.S dollar and consequently bullion rates;

U.S Consumer Confidence: according to the recent monthly report, the consumer confidence index increased again in October (M-o-M). The current expectations are that the December index may further rise; this report might affect precious metals;

U.S. New Home Sales:in the previous monthly update, the sales of new homes declined to an annual rate of 368,000 – a 0.3% drop (month over month); if the number of home sales will rally, it may indicate a sign of some recovery in the U.S real estate market, which may also strength the USD;

Daily Outlook

The prices of gold and silver haven't done much in recent days. The FOMC decisions in recent months to launch QE3, QE3 plus didn't seem to help rally the price of precious metals. The debates around the fiscal cliff also seem to have for the time being little effect on precious metals of the foreign exchange rates. The low trading volume may result in a sudden spike in the price volatility of gold and silver in the days to follow (e.g. yesterday, oil prices sharply increased). Nevertheless, I still guess gold and silver will slowly decline during the week. The upcoming U.S reports regarding jobless claims, consumer confidence, and new home sales could affect not only the USD but also precious metals prices. If these reports will show the U.S economy is growing, it could adversely affect gold and silver prices.